Vodafone may now run on part of the Telstra mobile network (if the ACCC agrees)

TPG Group telcos will gain access to a portion of Telstra’s mobile network, making it the second largest mobile network available in Australia, provided that the ACCC approves the agreement.

The two telcos struck a 10-year deal which would see TPG gain access to approximately 3,700 Telstra mobile sites within regional and urban fringe areas. In exchange Telstra would also gain access to TPG’s 4G and 5G spectrum, allowing for more bandwidth and less congestion for customers. The changes would be applicable to every provider using the TPG Telecom network, including Vodafone, iiNet, Internode, and felix, and should be available to all users by the end of the year if the deal goes ahead.

The agreement would operate similarly to Mobile Virtual Network Operators. MVNOs pay to have access to a provider’s mobile network and resell that access along to customers. The TPG group wouldn’t simply operate on the Telstra network, but it would have access to it in defined regions while the two networks continue to be owned and operated by the separate entities. In saying that, Telstra will also gain access to deploy additional infrastructure on 169 existing TPG sites which will improve coverage for both telcos in the affected areas.

TPG has a similar infrastructure sharing arrangement in place with Optus within metropolitan areas. In 2012 Optus and Vodafone entered a joint agreement to share mobile tower infrastrcture, and build new towers for shared use across the country. This deal with Telstra would focus on regional and fringe areas, theoretically allowing more provider options for rural Australians.

Currently TPG Telecom operates the third largest mobile network in Australia, covering 96% of the population. The additional coverage gained through these deals would bring it up to 98.8% of the population; in line with the Telstra Wholesale network, and covering a greater percentage of the population than Optus (98.5%).

The agreement is subject to approval from the Australian Competition and Consumer Commission, but if successful is expected to be available to TPG customers by the end of 2022.

Anula Wiwatowska

Offsite Editorial Lead | Instagram

Anula is the Off-Site Editorial Lead for WhistleOut Australia, and an award winning tech journalist. She has been writing about the Australian telco industry, and consumer technology for over five years, and has been known to tell her Uber driver which phone they should upgrade to next.

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